It’s status has not changed from constructive, but since the HUI/Gold ratio (HGR) is so important to the technical situation for the sector, I just wanted to pop an update in here using HUI/GLD.
Sure, anything can happen. But as yet the only thing that has happened is that the HGR has remained doggedly positive to the case for the gold miners. At worst, this is HGR’s best effort since 2016 at turning the trend. The trend will be indicated as ‘turned’ when both of those moving averages are pointing up with the price above them.
In NFTRH 542 we noted two things…
Thing 1: Gold miners are indicated to be a value vs. the gold price and
Thing 2: The post-2016 downtrend in HGR appears to be a bullish consolidation.
Hence, our obsession with this leading indicator.